TDS on frieght which is showed on purchase invoice

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This query is : Resolved

A J Sankar (Querist)

15 May 2009 Is there any requirement to deduct tax at source on frieght (which is showed on the invoice)while purchasing the goods.
Please explain all possible situations in which TDS is required.
like:

1.Purchase price include frieght(not shown seperately on invoice
2.seperately shown on invoice

Whether is it required the seller and transporter be the same to deduct tax.
If not same on which amount the TDS is required.(ie is on transporter bill attached to invoice; or on the amount mentioned on invoice as frieght.)

CA CS CIMA Prakash Somani

CA CS CIMA Prakash Somani (Expert)

15 May 2009 Please let me also know about the answer.

CA Tilak Raj Sharma

CA Tilak Raj Sharma (Expert)

15 May 2009 You need to deduct TDS only when there is separate receipt from transporter i.e. you are making direct payment to the transporter.

If the seller is charging for freight in his invoice, that means he is making the payment to the transporter and claiming back the same from buyer. In this case, seller is required to dedcut the TDS, not the buyer.

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